Therefore, they may carry a higher risk ptu fraudulent activity. Just as there are two different types of options ( puts and calls), so there are two main ddigital of options: American and European. Many rookies have suffered unnecessary losses because they were unaware of the differences. Binary options come in many forms, but the two most basic are: cash-or-nothing and asset-or-nothing. It pays nothing if it expires with the underlier equal to or le.